Financings
Powermax Minerals Completes Initial Milestone Payments Related to the Option Agreement to Acquire Pinard Rare Earths Project
PMAX · Price
Executive Summary
- Powermax Minerals issued 160,000 common shares and made an $18,000 cash milestone payment to acquire a 100% interest in the Pinard Rare Earths project under an option agreement.
- The total consideration for the option arrangement includes 320,000 shares and $90,000 cash payable over three years, plus an optional $500,000 buy‑back right to reduce the NSR royalty from 1.5% to 1.0%.
- The Pinard project comprises 255 contiguous mining claims covering 5,178 ha in northern Ontario, accessible via all‑weather road.
Key Details
- Option Agreement Structure – Powermax may acquire the Pinard REE Project subject to a 1.5% NSR royalty.
- Initial Milestone Payment – $18,000 cash paid on the Effective Date; 160,000 common shares issued simultaneously.
- Payment Schedule:
| Due Date | Common Share Payments | Cash Payment (CAD) |
|---|---|---|
| Effective Date | – | $18,000 |
| Within 7 business days of CSE approval | 160,000 | – |
| 1‑year anniversary | 160,000 | $16,000 |
| 2‑year anniversary | – | $24,000 |
| 3‑year anniversary | – | $32,000 |
| Total | 320,000 | $90,000 |
- Buy‑back Right: Powermax can reduce the NSR to 1.0% by paying $500,000 to the optionors.
- Project Description: Located ~70 km NNE of Kapuskasing, Ontario; 255 mining claims (5,178 ha); accessible by 4×4 vehicle via all‑weather road.
- Geology: Alkaline igneous intrusive complex (nepheline syenites, trachytes, peralkaline granites) analogous to nearby REE deposits (e.g., Clay Howell Intrusive).
- Qualified Person: Afzaal Pirzada, P.Geo., Director, reviewed and approved the technical information.
Notable Quotes
- “We are pleased to progress our acquisition of the Pinard Rare Earths project, which adds a strategically located REE asset to our portfolio,” – Paul Gorman, CEO & Director.
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Jun 16, 2026 · 06:01